Comments on: While they won’t, the period of free money should end now http://www.ritholtz.com/blog/2009/12/while-they-wont-the-period-of-free-money-should-end-now/ Macro Perspective on the Capital Markets, Economy, Geopolitics, Technology, and Digital Media Wed, 15 Feb 2012 00:33:57 +0000 hourly 1 http://wordpress.org/?v=3.0.5 By: WaltFrench http://www.ritholtz.com/blog/2009/12/while-they-wont-the-period-of-free-money-should-end-now/comment-page-1/#comment-242096 WaltFrench Wed, 16 Dec 2009 06:30:46 +0000 http://www.ritholtz.com/blog/2009/12/while-they-wont-the-period-of-free-money-should-end-now/#comment-242096 “The main stat that has continued to worsen is the employment rate which has gone to 10% from 6.8%.” Pesky one, that. Especially since the Fed is obliged under that quaint, 30-year-old Humphrey-Hawkins law to undertake efforts at full employment. The “Twin Mandate,” insiders say. One may argue that “free money” doesn't actually help employment, but that seems not to be the concern expressed above, nor one that I can recall from any student of the economy, Nobel laureate or otherwise. Rather, PB worries about gold, a cheaper dollar that might facilitate exports and other measures quite tangential to citizens‘ ability to earn income. Still: is the concern about an implied rate of less than 2% inflation a match for the human and economic cost of having somewhere around ten million Americans not contributing to our national wealth? What kind of dismal science is that? “The main stat that has continued to worsen is the employment rate which has gone to 10% from 6.8%.”

Pesky one, that. Especially since the Fed is obliged under that quaint, 30-year-old Humphrey-Hawkins law to undertake efforts at full employment. The “Twin Mandate,” insiders say.

One may argue that “free money” doesn’t actually help employment, but that seems not to be the concern expressed above, nor one that I can recall from any student of the economy, Nobel laureate or otherwise. Rather, PB worries about gold, a cheaper dollar that might facilitate exports and other measures quite tangential to citizens‘ ability to earn income.

Still: is the concern about an implied rate of less than 2% inflation a match for the human and economic cost of having somewhere around ten million Americans not contributing to our national wealth? What kind of dismal science is that?

]]> By: franklin411 http://www.ritholtz.com/blog/2009/12/while-they-wont-the-period-of-free-money-should-end-now/comment-page-1/#comment-241873 franklin411 Tue, 15 Dec 2009 05:49:24 +0000 http://www.ritholtz.com/blog/2009/12/while-they-wont-the-period-of-free-money-should-end-now/#comment-241873 Silliness. Silliness.

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